The consultation document from First Minister Alex Salmond came after he met with the mothers of three children killed or badly injured in recent dog attacks, the Daily Record of Glasgow reported.
Salmond's plan calls for all 640,000 dogs in Scotland to be licensed. Full-time dog wardens would enforce the law. License fees would cover the cost of the implant and wardens' salaries.
Microchipping "will help authorities bring offenders to justice by making owners directly accountable for a dog's behavior," Salmond said.
During the 12-week consultation period, prosecutors, local authorities and victim groups can offer opinions on aspects of the proposal, including whether all dogs should be leashed or muzzled.